Thursday, May 27, 2010

Bureaucracy at Work in USA

The Peter Principle concept was introduced by Canadian sociologist Dr. Laurence Johnston Peter in his humoristic book of the same title. In his book, he describes the pitfalls of the bureaucracy in organizations witnessed during his extensive research into business organization and its management.
The Peter Principle book has attained such renown that The American Heritage Dictionary defines it as "The theory that employees within an organization will advance to their highest level of competence and then be promoted to and remain at a level at which they are incompetent." ... "In a hierarchically structured administration, people tend to be promoted up to their level of incompetence," or, as Dr. Peters Principal explained more simply, "The cream rises until it sours."
The Peter Principle is so appropriate and meaningful a lesson for business, that it has found its way into Masters Degree (MBA) curriculae as a foundation for the next generation to protect itself. But it seems that this hierarchy within companies continues to be the organizational structure of choice for government and big business.

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